I work in an office (trying to be vague here) and we are having some cash flow issues. As in- vendors are on hold, employees checks are bouncing, general mismanagment issues. I got an e-mail from the bosses' wife saying they were wondering if we wanted to have the staff Christmas party at Che Swanky? Mind you- we don't have enough money for the postage meter but we have enough for a catered party?

The mind boggles!

The staff collectively voted to not have a party and would just wish they paid their bills and employees on time. How to convey this to Boss and wife (who is also the bookkeeper and knows the money situation)?

I might also reply along the lines of somehow letting them know that the employees have no desire to attend any Christmas function until the company can afford to pay them on time without their chiecks bouncing.

I think that they might get the hint when no one shows up to their fancy, schmancy Christmas party.

I think you can say that you think it would be inappropriate to spend a lot of the company's money on the Christmas party given the current financial situation and it will send the wrong message to employees. I'd then see what they say. If they disagree, then you are kind of stuck. If they agree or say, but we'd like to do something, then you can brainstorm other ideas. If they say it was to be financed by the employees, then you can say that with all the uncertainty and bounced checks, you think people would rather save their money.